Ross Lipson, left, and Zach Lipson, Dutchie co-founders.
Source: Dutchie
The cannabis technology platform Dutchie on Tuesday announced its acquisitions of software companies Greenbits and LeafLogix in an effort to streamline e-commerce tools for its pharmacist partners.
Greenbits and LeafLogix create software for planning and selling businesses for cannabis companies. Dutchie did not want to disclose the financial terms.
Dutchie, founded in 2017 by brothers Ross and Zach Lipson in Oregon, works with 2,116 pharmacies in 36 markets in the United States and Canada to facilitate online ordering of cannabis, including download and delivery.
The deals come as more states like Virginia legalize cannabis, accelerating the pace of consolidation in the sector. Since November, six states have adopted legislative measures.
Dutchie also said on Tuesday that it had received $ 200 million from investors in a series of C-financing rounds, bringing its valuation to $ 1.7 billion.
The latest round of financing was led by Tiger Global, with new investors Dragoneer and DFJ Growth. Existing investors, Casa Verde Capital, Thrive Capital, Gron Ventures and former Starbucks CEO and founder Howard Schultz also participated.
Rossie Lipson, CEO of Dutchie, told CNBC he remains optimistic that the move will boost the company’s presence in the fast-growing industry.
Lipson said in an interview about the business trends that most customers buy cannabis flower products, but that the company sees a greater demand for many other forms of the plant.
“You see a lot more categories, like vaporizers, topical products, edible products and tinctures, also continuing to increase in demand. I think if the technology and education continues, the product offering will definitely expand,” Lipson said.
The company will appear on CNBC’s Closing Bell on Tuesday afternoon.